Well, there was no question there was a safety risk. And while we didn't like it, uh we supported the FAA and we supported Secretary Duffy that we had to take proactive action. The thing we don't like is being a political football is that because our people aren't getting paid. That's the thing we really didn't like.When you ask the controllers, when you ask the security agents at TSA, who form essential roles in the safety and the safeguarding of our air travel system, national airspace, that they're not g ...

Core Insights - Flight cancellations in the U.S. have decreased, with 811 departures canceled on Wednesday, representing 3.5% of the airlines' schedule, the lowest rate since the previous Thursday [2] - The ongoing federal government shutdown has significantly impacted air travel, with air traffic controllers working without pay, leading to staffing shortages and increased flight disruptions [2][7] - Major airlines, including Delta Air Lines, are experiencing financial impacts due to the shutdown, but it is not expected to eliminate profits entirely [4] Industry Impact - The shutdown, which began on October 1, has resulted in thousands of flight cancellations and delays, affecting the travel plans of approximately 5 million passengers [7] - Air traffic controller staffing levels have been critically low during the shutdown, prompting some controllers to seek additional employment to support themselves [7] - Transportation Secretary Sean Duffy indicated that air travel may not return to normal immediately after the shutdown ends, depending on the return of air traffic controllers to work [8] Market Reaction - U.S. airline shares saw a broad increase on Wednesday ahead of the House vote on the funding bill [6]

Core Insights - Delta Airlines celebrates its 100th anniversary, marking a significant milestone as the first U.S. airline to reach this age [2] - The company expresses relief regarding the resolution of the government shutdown, which had caused delays and cancellations [3][4] - Delta's premium offerings account for 60% of revenues, indicating a strong focus on high-value customer segments [14] Operational Performance - Delta experienced a temporary reduction in bookings of about 5% to 10% due to the government shutdown, but the impact is considered transitory [6][8] - The airline had over 2,000 cancellations during the shutdown, which will affect fourth-quarter earnings, but the overall outlook remains positive [8][9] - The company anticipates a return to normal operations shortly after the resolution of the shutdown, with expectations for a strong holiday season [3][4][5] Market Position and Strategy - Delta is positioned as a leader in the premium travel segment, with a focus on enhancing customer experience and loyalty [12][13] - The airline plans to increase its international revenue share from one-third to a more balanced 50/50 split with domestic revenue in the coming years [17] - Delta emphasizes the importance of making air travel accessible and sustainable, with ongoing investments in fuel-efficient aircraft and innovative partnerships [22][24][25] Future Outlook - The demand for air travel is expected to continue growing, with Delta focusing on expanding its international routes and premium services [17][22] - The airline is exploring technological advancements in aviation, including partnerships with electric vehicle companies to enhance customer convenience [23][24] - Delta's ecosystem of partnerships with various brands aims to enhance customer loyalty and brand experience, positioning the airline for future growth [25][26]

Core Insights - The airline industry is currently facing significant disruptions due to staffing shortages and mandated schedule reductions, leading to over 2,500 cancellations in the past week [1][11][5] - Delta Airlines is optimistic about returning to normal operations by the weekend, contingent on a vote that will address staffing and pay issues [3][11] - The economic impact of the disruptions is expected to be significant, with Delta anticipating a notable cost but not a complete wipeout of profits [11][12] Industry Challenges - Air traffic control staffing shortages have severely affected flight operations, with arrival rates in Atlanta dropping from a normal 80 per hour to just 20 due to low staffing levels [2][4] - The industry experienced a 10% cancellation rate over the weekend, significantly higher than Delta's usual 6% [5] - Safety concerns prompted the FAA to implement mandated reductions, which the industry supported despite the operational challenges it created [6][4] Economic Outlook - The airline industry is expected to grow at a GDP plus 1% rate, with Delta projecting flat to 1% growth in the domestic market for the fourth quarter [13][14] - Despite recent disruptions, consumer travel behavior is expected to rebound, particularly during the holiday season [15][16] - The airline's capacity outlook remains positive, with expectations of continued growth in international markets as part of a long-term strategy [20][21] Strategic Partnerships - Delta is focusing on exclusive partnerships with companies like Uber and YouTube, rather than traditional airline alliances, to enhance customer experience and brand reach [23][25][26] - The airline aims to leverage its large consumer base to create unique opportunities for partners, enhancing its market position [25][26] Future Expansion - Delta plans to expand its international routes, targeting markets in India, the Middle East, Africa, and Latin America as part of its growth strategy for the next century [20][21] - The airline recognizes the importance of international travel in driving future growth, as only 1 in 5 people globally have flown on an airplane [20]

Financial Data and Key Metrics Changes - Total revenue for Q3 2025 reached $1,400,000,000, with an adjusted EBITDAR margin of 31% and an operating margin of 18%, marking the second best third quarter in the company's history [10][26] - Adjusted EBITDA totaled $442,000,000, reflecting a margin of 31%, which is the second highest third quarter adjusted EBITDA on record [25][26] - Net income was $97,000,000 in Q3, representing a 7% net margin [26] - Total operating expenses increased by 2.5% year over year, primarily due to higher depreciation and amortization from fleet additions [24][25] Business Line Data and Key Metrics Changes - Passenger revenue decreased by 4.9% year over year, but showed a 1.7% improvement compared to Q2 2025 [15] - Domestic passenger unit revenue was flat, while international results were strong with profitability across all regions [16][17] - Premium unit revenue outperformed main cabin by five points year over year, indicating growing demand for premium products and services [19] Market Data and Key Metrics Changes - Domestic performance was impacted by currency, economic, and geopolitical headwinds, particularly in border cities due to changes in U.S. immigration policy [16] - U.S. capacity increased by 15% during the first half of 2025 but was flat for Q3, with expectations of continued improvement in passenger unit revenue [18][22] Company Strategy and Development Direction - The company remains focused on delivering high-quality, sustainable results, strengthening its competitive position, and creating lasting value for shareholders, customers, and employees [14][30] - Investment plans include modernization of the fleet and enhancing customer experience, with the addition of four Boeing 737 MAX aircraft during the quarter [13][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to execute effectively in a challenging environment, with expectations for sequential improvement in passenger revenue and unit revenue performance in Q4 [22][30] - The company anticipates passenger revenue to increase by 3% to 5% year over year in Q4, supported by favorable industry capacity trends [21][29] Other Important Information - The company reported $934,000,000 in cash on hand, complemented by a $200,000,000 undrawn revolving credit facility, resulting in total liquidity of $1,100,000,000, which accounts for 21% of revenue over the past twelve months [27] - The company is committed to maintaining strong financial flexibility and evaluating opportunities for capital distribution to shareholders in the future [47][30] Q&A Session Summary Question: Guidance on RASM and regional performance - Management expects positive unit revenue on both domestic and international fronts, with strong performance anticipated in the domestic beach portfolio and the U.S. region [33][34] Question: Confidence in U.S.-Mexico resolution - Management is hopeful for a resolution regarding bilateral issues and is in close contact with government officials [36][38] Question: Capacity growth expectations for next year - Management indicated potential for growth in capacity, particularly in the summer IATA season, while not providing specific guidance for 2026 [42][44] Question: Capital allocation and shareholder distribution - Management mentioned strong free cash flow generation and the potential for evaluating additional opportunities for capital distribution to shareholders in the future [46][47] Question: Details on 2024 normalized results - Management clarified that 2024 included nonrecurring items, particularly related to unused tickets and Boeing compensation, which should be considered when comparing results [50][54]

Core Viewpoint - Delta Air Lines anticipates a strong performance in the fourth quarter despite facing flight disruptions due to the federal government shutdown [1] Company Summary - CEO Ed Bastian expressed confidence in the airline's ability to maintain strong results in the upcoming quarter [1]

Core Insights - The Canadian travel industry is facing disruptions due to U.S. flight controller shortages linked to a federal government shutdown, affecting both direct and connecting flights for Canadian travelers [8][9][12] - Travelers who purchased cancellation insurance before the government shutdown announcement may be eligible for compensation, while those who bought policies afterward will not be covered for related issues [1][6] - The average cancellation rate has exceeded the U.S. Federal Aviation Administration's (FAA) threshold, indicating ongoing flight delays and cancellations, with potential for further disruptions as legislative actions unfold [10][11] Insurance Implications - Insurance policies purchased before the travel advisory are valid for claims related to the shutdown, while those bought afterward are considered to cover a "known event" and are excluded from coverage [1][6] - Consumers are advised to review their credit card travel insurance terms, as coverage may only apply if the trip was booked using that specific card [7] Travel Disruptions - The FAA has warned of persistent flight delays due to staffing shortages at air traffic control facilities, affecting major cities including Phoenix, San Diego, New York, and Houston [10] - Canadian airlines have reported that passengers, especially those with connecting flights in the U.S., are likely to be impacted by these air traffic control restrictions [9][12] - The U.S. Senate has passed legislation to reopen the government, but further flight disruptions are anticipated until staffing levels stabilize, particularly during the busy Thanksgiving travel period [11][12]

Core Insights - Canadian travel to the U.S. has significantly declined, with a one-third drop in the number of Canadians returning from the U.S. in September compared to the previous year, marking the ninth consecutive month of decline for car trips [1][11] - Political tensions, tariffs, and anti-Canadian rhetoric under the Trump administration are major factors driving Canadians to choose alternative travel destinations [2][11] - The Canadian dollar's weakness, currently valued at about 71 U.S. cents, along with rising travel costs, further discourages travel to the U.S. [11] Travel Trends - Only 10% of baby boomers plan to visit the U.S. this winter, a two-thirds decrease, while Gen Z travelers show an 18% drop to 44%, indicating younger individuals are still more inclined to travel [11] - Nearly 1.8 million Canadians returned from the U.S. in September, but many express unease about visiting due to fears of immigration crackdowns [5][11] - Some Canadians are engaging in "quiet traveling," opting not to promote their trips to the U.S. on social media [6][11] Business Impact - U.S. states, particularly California, are launching tourism campaigns to attract Canadian visitors, with expected spending from Canadians dropping from US$3.7 billion in 2024 to US$3 billion this year [4][11] - Airlines, including Air Canada, are adjusting their routes by increasing flights to the Caribbean, Latin America, and Europe while reducing U.S. routes due to decreased demand [9][11] - Business travel remains steady, as some Canadians continue to travel for work despite political concerns [7][11] Property Ownership - Canadians who own property in the U.S. are likely to continue visiting, with 30-40% of snowbirds owning homes in the U.S. and about 70% traveling by car [7][11] - The winter season may still encourage Canadians to travel south, as the onset of winter weather typically influences travel decisions [7][11]

Core Viewpoint - Copa Holdings (CPA) is anticipated to report a year-over-year increase in earnings driven by higher revenues for the quarter ending September 2025, with the consensus outlook suggesting a positive earnings picture [1][3]. Earnings Expectations - The earnings report is scheduled for release on November 19, and better-than-expected key numbers could lead to a rise in stock price, while a miss may result in a decline [2]. - The consensus EPS estimate for the quarter is $4.03 per share, reflecting a year-over-year increase of 15.1%, with revenues projected at $914.95 million, up 7.1% from the previous year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised 0.13% higher, indicating a collective reassessment by covering analysts [4]. - The Most Accurate Estimate for Copa Holdings is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +1.93%, suggesting a bullish outlook on earnings prospects [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive Earnings ESP reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [10]. - Copa Holdings currently holds a Zacks Rank of 3, indicating a likelihood of beating the consensus EPS estimate [12]. Historical Performance - In the last reported quarter, Copa Holdings exceeded the expected earnings of $3.25 per share by delivering $3.61, resulting in a surprise of +11.08% [13]. - The company has successfully beaten consensus EPS estimates in the last four quarters [14]. Conclusion - Copa Holdings is positioned as a compelling candidate for an earnings beat, but investors should consider additional factors before making investment decisions [17].

meeting. So, let's get to Kevin Green, who joins me as always. And obviously, something that we've been reacting a lot to this week is hope that we could see an end to this government shutdown. We've been talking about this a lot.As far as where we're at now, we're waiting for the House to vote on that. What are you seeing as far as what we're seeing as far as the market reaction is concerned. Uh, and what likely is h likely to happen next.KG. >> Yeah, it appears the market might be already pricing this and ...